While residential brokerage has been widely studied, the operating characteristics on income property brokerage firms have received little attention in the literature. In this paper, we analyze results from a survey of income property brokers to measure profitability scale effects, and...

A discrete time option pricing model is developed to value a mortgage and its embedded prepayment option when the effective life of the mortgage is a random variable with a probability distribution of known parameters. The model can be applied when the borrower's ex ante expectation of his...